union budget for farmers
Union Budget 2026 : The Budget places strong emphasis on increasing farmers’ income by enhancing productivity in agriculture and allied sectors . Focus is laid on high-value agriculture, diversification, value addition, and post-harvest management to improve farm profitability. Fish catch by an Indian fishing vessel in the Exclusive Economic Zone (EEZ) or on the High Seas is made free of customs duty. Landing of such fish at a foreign port will be treated as export of goods, providing parity and clarity to Indian fishers. Integrated development of 500 reservoirs and AmritSarovars will be undertaken to strengthen inland fisheries. The government will strengthen the fisheries value chain in coastal areas, including harvesting, storage, processing, and marketing. Market linkages will be enabled for start-ups and women-led groups, together with Fish Farmer Producer Organisations (Fish FPOs).
A loan-linked capital subsidy support scheme will be introduced for the private sector for setting up:
• Veterinary colleges
• Para-vet colleges
• Veterinary hospitals
• Diagnostic laboratories
• Breeding facilities
• . These measures aim to strengthen livestock health services, improve productivity, and enhance rural employment opportunities.
A Coconut Promotion Scheme will be implemented to:
• Increase production
• Enhance productivity
• Improve income opportunities for 4cr. coconut farmers
A dedicated programme for Indian Cashew and Cocoa will be implemented.
The programme will support:
• Production enhancement
• Processing
• Value addition
• Entrepreneurship development
• Emphasis will be placed on job creation in rural and peri-urban areas through the cashew and cocoa value chains.
A dedicated programme for horticulture will focus on:
• Rejuvenation of old, low-yielding orchards
• Expansion of high-density cultivation
High-density cultivation will specifically cover:
• Walnuts
• Almonds
• Pine nuts
The Budget supports focused cultivation and post-harvest processing to move farmers towards high-value crops.
Emphasis is placed on value chain development to reduce post-harvest losses and improve farm realisations.
Deduction allowed to primary cooperative societies is expanded to include supply of cattle feed and cotton seed produced by members.
Inter-cooperative society dividend income will be allowed as a deduction under the new tax regime, to the extent it is distributed to members.
Dividend income received by a notified national cooperative federation from investments made in companies up to 31.01.2026 will be exempt from tax for three years, provided the dividends are distributed to member cooperatives.
Bharat-VISTAAR will integrate AgriStack portals and the ICAR package of agricultural practices with AI systems.
This integration aims to:
• Improve farm advisory services
• Enable data-driven decision-making
• Enhance productivity and resilience in agriculture
• Agriculture and allied sector initiatives are positioned as key drivers of rural employment, women-led entrepreneurship, and income diversification.
Focus on fisheries, livestock, horticulture, and plantation crops will strengthen farm-based livelihoods beyond traditional cropping.
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